Merrill Lynch Customers Could See 50% Fee Hike

8/1/2013 9:29AM

Bank of America is revamping fees at Merrill Lynch that could trigger fee increases by as much as 50 percent for some of its managed account customers. Corrie Driebusch explains the move, which also has Merrill's account managers upset. Photo: Getty Images.

This transcript has been automatically generated and may not be 100% accurate.

... the the ... the million customers in Maryland for which this could be hit with high fees under a new pricing structure for the Bank of America the unit's popular account management read ... high tides in emails but the service affiliate back less resistance from the investment bank's claim it's thundering and in ... the forty thousand that advises employers to maintain relationships with individual investing clients around the country ... more in the story I'm joined now what Cordray Bush ... good morning Korea how you're doing now I am sorry ... what what are they doing it it seems like a Philly ... drastic mood to have ... to put off calling it the fly there and selling it as their overhauling the how are they and ... their platform for accessing e and to building portfolios for the managed accounts business basically ... any investment portfolio that has a flat fee ... but as part of this overhaul a defense treaty new fee Skyfall and as part of that new one piece that top ... dead fees for the most popular managed accounts are going up pretty dramatically up to fifty percent ... deficiency face look out on the screen here for the Medusa idea for the dust up ... to seven counts of four thousand forms of premium of fifty five c ... from small called for the D tells Matt I believe is well but ... what time span how repeat what you think that the idea that I it's it's how I'm that whilst not saying how many people are in this I ... certain managed accounts ... there are other ways that the Teamsters and the sketch also that ... some people's fees actually are going to go lower profit cannot ... take into consideration money they might have and think America deposits like ... a brokerage account assets so it's hard to tell ... and they say that clients can also talk to their advisor each Friday negotiated discounts to ... time because these are really going in effect until the end of twenty fifteen said the couple who incentivizes are upset about this ... that fact will not ... advise is the main part of either top is having these relationships with their clients in building those relationships of trust ... and if they have to say ... I'm going to now need to charge more for this seems service ... Tuscany go over well with clients and put it in a no brainer to me yet on what is the rational obviously and it is this that I really need to come from this presumably ... but ... it is also due at the competitive threat than in the share of of of of wealth management is shrinking ... Langston on ... PCs to be tearing it as part of this big overhaul of the men in second spot for him ... I don't know if they me lies just the backlash or how much the might of fact and ... the advice is everyday lives that their clients because of the Fed ... is in a lower fees for sound and ... that that that that not the balcony would see ... a ... it's hard to tell but ... from inside the suspect in with ... their thing the majority of our clients to say that this is a a flat fee said the strike that differs from this or transaction long Island and brokerage accounts and the traditional perfect parents ... every time you make a trade from your broker or financial advisor to the Laval ... I'm that ... kind of a flat feet it's just that you see a percentage of all your assets its hard stints be treating ... these nights and that's when it estimates a pop ... I think easy way you know how much you're paying for year no matter if you're gonna have a decent reading the air or if you just winds all your money ... in certain investments in just ... a lot of the so ... the kids